State of Fashion 2025: Navigating Uncertain Times

McKinsey's "The State of Fashion 2025" report anticipates a challenging year for the global fashion industry. Sluggish growth is expected to continue, influenced by economic uncertainties and shifting consumer preferences, particularly concerning price sensitivity and value. Geographic disparities will become more pronounced, with brands needing to localise approaches and explore opportunities in emerging Asian markets. Furthermore, retailers should focus on enhancing the in-store experience and leverage AI for online product discovery. The report emphasises that sustainability, supply chain agility, and targeting overlooked demographics like the "silver generation" will be crucial for success.